The News: Accenture announced on June 13 that it will invest $3 billion over 3 years in its Data & AI practice. The money funnels into three key areas: expanding the Data & AI practice team, the launch of the new AI business case and AI tech assessment tool, and the creation of an AI R&D incubator.
In terms of the Data & AI practice, Accenture said they will double the size of the team from 40,000 to 80,000 through new hires, retraining, and acquisitions. Should the team reach 80,000, it will represent about 10% of the entire Accenture workforce.
Accenture AI Navigator for Enterprise is a new generative AI-based tool which will help Accenture clients “define business cases, make decisions, navigate AI journeys, choose architectures, and understand algorithms and models to drive value responsibly.” Accenture says the tool is designed to accelerate responsible AI practices and compliance programs.
The Accenture Center for Advanced AI will seek to maximize the value of AI technology across clients and within Accenture. Accenture says the initiative “includes extensive R&D and investments to reimagine service delivery using generative and other emerging AI capabilities.”
Read the full Press Release here.
Accenture’s $3 Billion AI Investment: Get Used to It
Analyst Take: Accenture’s $3 billion AI investment is significant news for the AI market. Here’s why:
Consulting firms and SIs are becoming the key connectors in the AI puzzle
Adoption of AI in the enterprise has been moving from the early adopter phase into the fast follower phase. In the early adopter phase, most companies simply experimented with single use cases and narrowly defined technology requirements. Now enterprises realize that best practices for AI – from strategic planning and business case analysis to KPIs and lifecycle management – are broadly comprehensive initiatives that span business units and departments. In other words, enterprises are rapidly taking a much more holistic view of AI and realizing they do not have the bench strength to structure their programs alone. Enter the consulting firms and systems integrators (SIs), who are rapidly becoming broadly knowledgeable in how to construct AI programs and integrate them for enterprises.
Accenture AI Navigator for Enterprise could scale AI assessment
The challenge for most enterprises seeking to leverage AI within their organizations is their lack of a structured, business discipline approach. Simply put, not enough of them start with the simple question: what problem are we trying to solve? Accenture AI Navigator for Enterprise has the potential to influence two positive outcomes: (1) A scalable tool Accenture can offer to their clients which can guide clients through initial planning, and (2) a way to optimize efficiencies for the Accenture workforce when it comes to the growing AI planning workload.
Accenture Center for Advanced AI incubator could cross-pollinate
Accenture Center for Advances AI holds the potential for Accenture to gather, assess, and evaluate a broad spectrum of AI use cases. With proper management and feedback loops, this will potentially allow Accenture to cross-pollinate AI ideas across their wide range of vertical and horizontal markets.
Consulting firm and systems integrator AI investments will accelerate
Given the increasing role consulting firms and SIs are playing in managing enterprise AI initiatives, most will increase their investments in practice area teams, assessment tools, and idea incubators like Accenture have done, if they have not already done so. These investments will constitute a growing percentage of overall AI investment, and in some ways will mitigate a percentage of investment by enterprises in similar functions.
Disclosure: The Futurum Group is a research and advisory firm that engages or has engaged in research, analysis, and advisory services with many technology companies, including those mentioned in this article. The author does not hold any equity positions with any company mentioned in this article.
Analysis and opinions expressed herein are specific to the analyst individually and data and other information that might have been provided for validation, not those of The Futurum Group as a whole.
Other insights from The Futurum Group:
Pega Cloud Now Available on Google Cloud, Adding Flexibility
Author Information
Mark comes to The Futurum Group from Omdia’s Artificial Intelligence practice, where his focus was on natural language and AI use cases.
Previously, Mark worked as a consultant and analyst providing custom and syndicated qualitative market analysis with an emphasis on mobile technology and identifying trends and opportunities for companies like Syniverse and ABI Research. He has been cited by international media outlets including CNBC, The Wall Street Journal, Bloomberg Businessweek, and CNET. Based in Tampa, Florida, Mark is a veteran market research analyst with 25 years of experience interpreting technology business and holds a Bachelor of Science from the University of Florida.
